Nike Inc. Stock Buy Recommendation Reiterated (NKE)
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- NKE's revenue growth has slightly outpaced the industry average of 5.3%. Since the same quarter one year prior, revenues slightly increased by 9.7%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- NKE's debt-to-equity ratio is very low at 0.04 and is currently below that of the industry average, implying that there has been very successful management of debt levels. To add to this, NKE has a quick ratio of 1.77, which demonstrates the ability of the company to cover short-term liquidity needs.
- Net operating cash flow has significantly increased by 514.94% to $535.00 million when compared to the same quarter last year. In addition, NIKE INC has also vastly surpassed the industry average cash flow growth rate of 184.95%.
- NIKE INC's earnings per share declined by 9.6% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, NIKE INC increased its bottom line by earning $4.73 versus $4.40 in the prior year. This year, the market expects an improvement in earnings ($5.24 versus $4.73).
--Written by a member of TheStreet Ratings Staff. HOLIDAY SPECIAL: Let Jim Cramer show you every trade he is making in his $2.5 Million portfolio. Join now for 14-days FREE. Sign up today to get e-mail alerts before every trade
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